The blockchain is a records of digital database or blocks of immutable and validated transactions. The blockchain technology acts as an open ledger, such that every transaction on the network is recorded and is made available for all the entities or participants involved in the network to see and verify them. Therefore, blockchain eliminates the need to transfer information between organizations via mail or any other communication media. The blockchain centralizes the information sharing within enterprises thereby ensuring the transparency at all levels of supply chain management. The very technical nature of blockchain technology limits its awareness among enterprises. Nonetheless, with the growth of awareness, the blockchain supply chain market is projected to witness innovative and advance transformation, which enable the participants to access everything they want on a single platform. The global blockchain supply chain market size was valued at $ 93.16 million in 2017, and is projected to reach $ 9,852.91 million by 2025, growing at a CAGR of 80.2% from 2018 to 2025.
The platform component segment dominated the overall blockchain supply chain market in 2017 and is expected to remain dominant during the forecast period, due to increase in adoption of blockchain platforms to streamline the supply chain processes. Also, the segment is expected to witness significant growth in the upcoming years due to advent of affordable and diverse pricing plans offered by market players. The blockchain supply chain market outlook looks positive with the strong growth in CAGR.
The retail industry dominated the blockchain supply chain market share in 2017 and is expected to remain dominant during the forecast period, due to rise in adoption by retail players to streamline their supply chain processes. Further, this is expected to increase the demand for blockchain supply chain services in the retail industry. However, the blockchain supply chain market forecast predicts the healthcare industry to witness highest CAGR during the study period. Healthcare service providers are implementing blockchain technology to constantly monitor and track the healthcare products from production to delivery. Also, blockchain supply chain offerings enable pharmaceutical companies to decrease the illegitimate activities, such as counterfeit drugs and illegal production of harmful medicines, improper stock control.
North America dominated the overall blockchain supply chain market in 2017, as the region is equipped with strong broadband access and presence of significant number of market players. Further, the North America region is considered to be most advanced in terms of infrastructure and technology adoption. The wide presence of key industry players of blockchain technology solutions providers in the region is the major factor that drives the growth of the blockchain supply chain market. The enterprises from various industry verticals, such as healthcare, manufacturing, retail & consumer goods, and logistics are some of major customers to the vendors in the market. Asia Pacific, on the other hand, is expected to record highest growth CAGR for the blockchain supply chain market during the forecast period with ongoing developments in the major APAC countries, such as China, India, Japan, and Singapore.
The report focuses on the blockchain supply chain market trends, growth prospects, restraints, and opportunities. The study also provides Porter’s five forces analysis of the Blockchain supply chain industry to understand the impact of various factors, such as bargaining power of suppliers, competitive intensity of competitors, threat of new entrants, threat of substitutes, and bargaining power of buyers on the blockchain supply chain market growth.
Segment review
The global blockchain supply chain market is segmented based on component, application, industry vertical, and region. Based on component, the market is bifurcated into platforms and services. Based on application, the market is divided into smart contracts, payment & settlement, product traceability, inventory monitoring, compliance management, and others. Based on industry vertical, the market is classified into retail, manufacturing, Food & Beverages, healthcare, oil & gas, and others. Based on region, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
The key players operating in the global blockchain supply chain market include IBM Corporation, Microsoft Corporation, Oracle Corporation, SAP SE, AWS Inc. Huawei Accenture Plc., Auxesis Group, TIBCO Software, and BTL Group
Top impacting factors
Increase in need for supply chain transparency, proliferation of e-commerce industry, and rise in demand for enhanced security of supply chain transactions are some of the factors expected to boost the growth of the blockchain supply chain market. However, lack of awareness about blockchain technology and scarcity of skilled workforce are expected to hamper the market growth during the forecast period. Furthermore, emergence of new blockchain supply chain market and new developments in blockchain supply chain technology are expected to provide lucrative opportunities for the market. Elimination of middlemen with blockchain and increased automation in supply chain management are expected to present strong market opportunities in the coming years for the market.
Rise in demand for enhanced security of supply chain transactions
Blockchains create one shared and centralized intermediary for transaction and information flow monitoring for various entities involved in the supply chain network. Each participant or entity involved in the supply chain has a copy of the ledger, and all the information pertaining to product movements and transactions are part of that ledger. If any entity involved in the supply chain tries to perpetrate fraud or manipulate the data in the digital ledger, that participant or company is manipulating only its own ledger and gets immediately out of sync with the rest of the ledgers in the blockchain ecosystem. Further, the blockchain ledgers and transactions are encrypted. Therefore, these are much more secured compared to traditional banking models.
The proliferation of e-commerce
The e-commerce process involves the management of continuous supply of products, warehousing, inbound and outbound transportation, and products distribution. Further, lucrative growth of mobile subscribers and smartphone users across the globe is leading to significant portion of population using smartphones and other gadgets to procure the product. Nonetheless, current lengthy supply chain management system, and other loopholes in the system leads to losses and deterioration of end-user service. Smart contracts with the help of blockchain regulates the intermediaries including payment processing partners and logistics providers. The blockchain provides read-only record of data which provides customers with various information such as origin of the products and component and processing the product was involved in to before getting delivered.
KEY Benefits For Blockchain Supply Chain Market:
This study includes the global blockchain supply chain market analysis, trends, and future estimations to determine the imminent investment pockets.
The report presents information related to key drivers, restraints, and opportunity.
The blockchain supply chain market size is quantitatively analyzed from 2017 to 2025 to highlight the financial competency of the industry.
Porter’s five forces analysis illustrates the potency of buyers & suppliers in the industry.
Blockchain Supply Chain Key Market Segments:
By Component
Platform
Services
By Application
Smart Contracts
Payment & Settlement
Product Traceability
Inventory Monitoring
Compliance management
Others
By Industry Vertical
Retail
Manufacturing
Food & Beverages
Healthcare
Oil & Gas
Others
By Region
North America
U.S.
Canada
Europe
Germany
France
UK
Rest of Europe
Asia-Pacific
Japan
China
India
Rest of Asia-Pacific
LAMEA
Latin America
Middle East
Africa
KEY Market Players
IBM Corporation
Microsoft Corporation
Oracle Corporation
SAP SE
AWS Inc.
Huawei Accenture Plc.
Auxesis Group,
TIBCO Software
BTL Group
The platform component segment dominated the overall blockchain supply chain market in 2017 and is expected to remain dominant during the forecast period, due to increase in adoption of blockchain platforms to streamline the supply chain processes. Also, the segment is expected to witness significant growth in the upcoming years due to advent of affordable and diverse pricing plans offered by market players. The blockchain supply chain market outlook looks positive with the strong growth in CAGR.
The retail industry dominated the blockchain supply chain market share in 2017 and is expected to remain dominant during the forecast period, due to rise in adoption by retail players to streamline their supply chain processes. Further, this is expected to increase the demand for blockchain supply chain services in the retail industry. However, the blockchain supply chain market forecast predicts the healthcare industry to witness highest CAGR during the study period. Healthcare service providers are implementing blockchain technology to constantly monitor and track the healthcare products from production to delivery. Also, blockchain supply chain offerings enable pharmaceutical companies to decrease the illegitimate activities, such as counterfeit drugs and illegal production of harmful medicines, improper stock control.
North America dominated the overall blockchain supply chain market in 2017, as the region is equipped with strong broadband access and presence of significant number of market players. Further, the North America region is considered to be most advanced in terms of infrastructure and technology adoption. The wide presence of key industry players of blockchain technology solutions providers in the region is the major factor that drives the growth of the blockchain supply chain market. The enterprises from various industry verticals, such as healthcare, manufacturing, retail & consumer goods, and logistics are some of major customers to the vendors in the market. Asia Pacific, on the other hand, is expected to record highest growth CAGR for the blockchain supply chain market during the forecast period with ongoing developments in the major APAC countries, such as China, India, Japan, and Singapore.
The report focuses on the blockchain supply chain market trends, growth prospects, restraints, and opportunities. The study also provides Porter’s five forces analysis of the Blockchain supply chain industry to understand the impact of various factors, such as bargaining power of suppliers, competitive intensity of competitors, threat of new entrants, threat of substitutes, and bargaining power of buyers on the blockchain supply chain market growth.
Segment review
The global blockchain supply chain market is segmented based on component, application, industry vertical, and region. Based on component, the market is bifurcated into platforms and services. Based on application, the market is divided into smart contracts, payment & settlement, product traceability, inventory monitoring, compliance management, and others. Based on industry vertical, the market is classified into retail, manufacturing, Food & Beverages, healthcare, oil & gas, and others. Based on region, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
The key players operating in the global blockchain supply chain market include IBM Corporation, Microsoft Corporation, Oracle Corporation, SAP SE, AWS Inc. Huawei Accenture Plc., Auxesis Group, TIBCO Software, and BTL Group
Top impacting factors
Increase in need for supply chain transparency, proliferation of e-commerce industry, and rise in demand for enhanced security of supply chain transactions are some of the factors expected to boost the growth of the blockchain supply chain market. However, lack of awareness about blockchain technology and scarcity of skilled workforce are expected to hamper the market growth during the forecast period. Furthermore, emergence of new blockchain supply chain market and new developments in blockchain supply chain technology are expected to provide lucrative opportunities for the market. Elimination of middlemen with blockchain and increased automation in supply chain management are expected to present strong market opportunities in the coming years for the market.
Rise in demand for enhanced security of supply chain transactions
Blockchains create one shared and centralized intermediary for transaction and information flow monitoring for various entities involved in the supply chain network. Each participant or entity involved in the supply chain has a copy of the ledger, and all the information pertaining to product movements and transactions are part of that ledger. If any entity involved in the supply chain tries to perpetrate fraud or manipulate the data in the digital ledger, that participant or company is manipulating only its own ledger and gets immediately out of sync with the rest of the ledgers in the blockchain ecosystem. Further, the blockchain ledgers and transactions are encrypted. Therefore, these are much more secured compared to traditional banking models.
The proliferation of e-commerce
The e-commerce process involves the management of continuous supply of products, warehousing, inbound and outbound transportation, and products distribution. Further, lucrative growth of mobile subscribers and smartphone users across the globe is leading to significant portion of population using smartphones and other gadgets to procure the product. Nonetheless, current lengthy supply chain management system, and other loopholes in the system leads to losses and deterioration of end-user service. Smart contracts with the help of blockchain regulates the intermediaries including payment processing partners and logistics providers. The blockchain provides read-only record of data which provides customers with various information such as origin of the products and component and processing the product was involved in to before getting delivered.
KEY Benefits For Blockchain Supply Chain Market:
This study includes the global blockchain supply chain market analysis, trends, and future estimations to determine the imminent investment pockets.
The report presents information related to key drivers, restraints, and opportunity.
The blockchain supply chain market size is quantitatively analyzed from 2017 to 2025 to highlight the financial competency of the industry.
Porter’s five forces analysis illustrates the potency of buyers & suppliers in the industry.
Blockchain Supply Chain Key Market Segments:
By Component
Platform
Services
By Application
Smart Contracts
Payment & Settlement
Product Traceability
Inventory Monitoring
Compliance management
Others
By Industry Vertical
Retail
Manufacturing
Food & Beverages
Healthcare
Oil & Gas
Others
By Region
North America
U.S.
Canada
Europe
Germany
France
UK
Rest of Europe
Asia-Pacific
Japan
China
India
Rest of Asia-Pacific
LAMEA
Latin America
Middle East
Africa
KEY Market Players
IBM Corporation
Microsoft Corporation
Oracle Corporation
SAP SE
AWS Inc.
Huawei Accenture Plc.
Auxesis Group,
TIBCO Software
BTL Group
Table of Contents
CHAPTER 1: INTRODUCTION
CHAPTER 2: EXECUTIVE SUMMARY
CHAPTER 3: MARKET LANDSCAPE
CHAPTER 4: BLOCKCHAIN SUPPLY CHAIN MARKET BY COMPONENT
CHAPTER 5: BLOCKCHAIN SUPPLY CHAIN MARKET BY APPLICATION
CHAPTER 6: BLOCKCHAIN SUPPLY CHAIN MARKET BY INDUSTRY VERTICAL
CHAPTER 7: BLOCKCHAIN SUPPLY CHAIN MARKET BY REGION
CHAPTER 8: COMPANY PROFILES
Executive Summary
According to this report titled, 'Blockchain Supply Chain Market by Component, Application, and Industry Vertical: Global Opportunity Analysis and Industry Forecast, 2018–2025,' the global blockchain supply chain market size was valued at $93.16 Million in 2017 and is projected to reach $9,852.91 Million by 2025, growing at a CAGR of 80.2% from 2018 to 2025.Increase in need for supply chain transparency, proliferation of e-commerce industry and rise in demand for enhanced security of supply chain transactions are some of the factors expected to boost the blockchain supply chain market growth. The blockchain technology decentralizes the transaction management by replacing middleman with secure digital records. Blockchain synchronizes all transactions and data across the supply chain network instead of being managed by central intermediary. Blockchain makes it possible for all the entities involved in the supply chain network to share and agree upon key business transactions and information. However, lack of awareness about this technology and scarcity of skilled workforce are expected to hamper the growth of the blockchain supply chain market during the forecast period.
Based on component, the market is bifurcated into platform and services. The platform segment dominated the overall blockchain supply chain market share in 2017 and is expected to remain dominant during the forecast period. Nonetheless, the service segment is expected to grow with highest CAGR during the forecast period. The growth of services segment is attributed to the rise in adoption of consulting and implementation services for blockchain technology by various enterprises worldwide.
In term of application, the market is bifurcated into smart contracts, payment & settlement, product traceability, inventory monitoring, compliance management, and others. The product traceability segment was the highest contributor to the global blockchain supply chain market in 2017 and is projected to remain dominant during the forecast period. Various industries including healthcare and food & beverages are adopting blockchain technology to trace the products at various stages in the supply chain and this is expected to drive the product traceability segment growth in coming years. Smart contracts application segment is projected to rise with highest CAGR during the forecast period. The smart contracts automate the contract execution in the supply chain and eliminates the need for intermediaries.
By industry vertical, the retail industry segment dominated the overall blockchain supply chain market share in 2017 and is expected to continue this trend during the forecast period, owing to strong adoption of blockchain technology by retail market players in their supply chains. The study includes blockchain supply chain market analysis for all the mentioned segments across geographies.
Key Findings Of The Study
By component, the services segment is expected to exhibit significant growth in the global blockchain supply chain industry during the forecast period.
Based on application, the product traceability segment accounted for the highest revenue in 2017. Further, smart contracts application segment is expected to exhibit highest CAGR growth in the market.
Based on industry vertical, the retail industry generated the highest revenue in 2017 and the healthcare industry is expected to grow with highest CAGR.
Based on region, Asia-Pacific is anticipated to exhibit substantial growth during the forecast period. With the significant growth of the market, the blockchain supply chain market outlook looks positive for coming years.
Many enterprises are expected to enter the market in near future with the expected lucrative growth of the market. Some of the key market players profiled in the report include IBM Corporation, Microsoft Corporation, Oracle Corporation, SAP SE, AWS Inc. Huawei Accenture Plc., Auxesis Group, TIBCO Software, and BTL Group. The study also includes blockchain supply chain market trends, analysis, and future estimations to determine the imminent investment pockets.
Methodology
The analyst offers exhaustive research and analysis based on a wide variety of factual inputs, which largely include interviews with industry participants, reliable statistics, and regional intelligence. The in-house industry experts play an instrumental role in designing analytic tools and models, tailored to the requirements of a particular industry segment. The primary research efforts include reaching out participants through mail, tele-conversations, referrals, professional networks, and face-to-face interactions.
They are also in professional corporate relations with various companies that allow them greater flexibility for reaching out to industry participants and commentators for interviews and discussions.
They also refer to a broad array of industry sources for their secondary research, which typically include; however, not limited to:
- Company SEC filings, annual reports, company websites, broker & financial reports, and investor presentations for competitive scenario and shape of the industry
- Scientific and technical writings for product information and related preemptions
- Regional government and statistical databases for macro analysis
- Authentic news articles and other related releases for market evaluation
- Internal and external proprietary databases, key market indicators, and relevant press releases for market estimates and forecast
Furthermore, the accuracy of the data will be analyzed and validated by conducting additional primaries with various industry experts and KOLs. They also provide robust post-sales support to clients.
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